The global steel wire rod market is showing both stability in some key regions and growing concerns of oversupply in others. The current market for the US and Germany is providing a rare period of price and demand stability. However, China’s weakening demand alongside the rising production is dragging the prices downward.
Reports show that U.S. steel wire rod prices remain stable. Their local manufacturers of steel wire rod have adjusted their output in line with the demands of the country. This decision is expected to provide local producers with more demand without the external competition and limited imported products, reducing external supply pressure. Alongside, more control over the exports ensures a controlled market. The consistency in the industry has provided more stability in the industry demand and supply.
German steel wire rod prices remain stable as mills maintain consistent production levels, effectively matching supply with demand. The equilibrium has minimized market disruptions, allowing domestic supply to meet local needs while sustaining steady import and export activity.
Falling demand and rising crude steel production in China have driven down steel wire rod prices, with no immediate reversal in sight. According to Steelforge data, China’s daily steel output remains persistently high, exacerbating a global oversupply and leading to significant stockpile buildup.
On the demand side, downstream industries continue to slash orders as cost pressures mount and manufacturers prioritize margin protection over volume. This dual pressure of weak consumption and elevated supply suggests further market challenges ahead.
Source: ChemAnalyst